Table 9

Robustness regressions using Market-to-Book ratio (MTB)

Variables(1) ESG
(Lagged)
(2) Environmental
(Lagged)
(3) Social
(Lagged)
(4) Governance
(Lagged)
ESG Score (lagged)−0.132** (−2.67)–––
Environmental Score (lagged)–−0.069** (−2.51)––
Social Score (lagged)––−0.049** (−2.89)–
Governance Score (lagged)–––−0.054** (−2.31)
Executive gender diversity (cent.)0.043 (1.26)0.012 (0.36)0.021 (0.64)0.062 (1.58)
ESG × Exec. gender diversity−0.011** (−2.57)−0.008*** (−3.05)−0.006** (−2.29)−0.007** (−2.24)
Firm size (log assets)−1.145 (−1.39)−1.155 (−1.50)−1.019 (−1.41)−1.432 (−1.49)
Profitability (ROA)0.121* (2.07)0.121* (2.02)0.126** (2.26)0.117* (2.05)
Leverage (DTC)−0.032 (−1.02)−0.030 (−1.00)−0.033 (−1.04)−0.027 (−0.90)
Price volatility0.140 (1.48)0.137 (1.47)0.153 (1.53)0.153 (1.52)
Board gender diversity−0.030 (−1.32)−0.044* (−1.95)−0.027 (−1.20)−0.023 (−0.89)
Board size0.345* (1.90)0.333* (1.84)0.359* (1.94)0.340* (1.89)
Firm fixed effectsYesYesYesYes
Year fixed effectsYesYesYesYes
Observations5,5055,5055,5055,505
Number of firms430430430430
R2 (within)0.0160.0150.010.013
F-statistic (Driscoll–Kraay)172473.11***1492744.33***194901.40***77408.38***

Note(s): Estimates are from fixed-effects regressions with Driscoll–Kraay standard errors, robust to heteroskedasticity, autocorrelation, and cross-sectional dependence. The dependent variable is Market-to-Book ratio (MTB). ESG and pillar scores (Refinitiv) are mean-centred before interaction with executive gender diversity; main ESG effects are interpreted at mean diversity. All models include firm and year fixed effects (year dummies not shown). Coefficients with t-statistics in parentheses. *p < 0.10, **p < 0.05, ***p < 0.01

Source(s): Created by authors

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